Nation-Building, Nationalism, and Wars

This paper explores how the increase in army size observed in early modern times changed the way states conducted wars. Starting in the late 18th century, states switched from mercenaries to a mass army by conscription. We model the incentives of soldiers to exert effort in war and show that as army size increases paying mercenaries is no longer optimal. In order for the population to accept fighting in and enduring war, government elites began to provide public goods, reduced rent extraction, and adopted policies to homogenize the population. We also explore the variety of ways in which homogenization can be implemented, and study its e ects as a function of technological innovation in warfare.